Benchmark raises Meta stock price target to $800 on revenue outlook

Published 23/07/2025, 13:44
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Investing.com - Benchmark raised its price target on Meta Platforms Inc. (NASDAQ:META) to $800.00 from $640.00 on Wednesday, while maintaining a Buy rating on the stock. The social media giant, now valued at $1.77 trillion, has been trading near its 52-week high of $747.90, supported by impressive gross profit margins of 81.77%.

The research firm cited expectations of stable top-line performance for Meta’s upcoming second-quarter results, due July 30, supported by steady e-commerce trends and continued ad pricing leverage in the U.S. and Canada markets. The company has maintained strong momentum, with revenue growing 19.37% over the last twelve months.

Benchmark noted that Meta has seen acceleration in these markets over the past two consecutive quarters and expects revenue per advertiser to increase from Advantage+ attribution enhancements implemented in May.

The firm anticipates Meta will maintain its 2025 capital expenditure guidance while slightly tightening operating expense guidance higher, following several recent hires of top researchers.

Benchmark’s price target increase reflects a reduced weighted average cost of capital (WACC) and a modest increase to out-year revenue projections, while the firm also mentioned it will look for directional commentary relative to consensus 2026 estimates of 9% year-over-year capital expenditure growth and 14% operating expense growth.

In other recent news, several analyst firms have raised their price targets for Meta Platforms Inc., reflecting positive expectations for the company’s future performance. Bernstein increased its price target to $775, citing Meta’s success in artificial intelligence and improved advertising effectiveness. Stifel also raised its target to $845, anticipating favorable second-quarter earnings and improved guidance. Scotiabank (TSX:BNS) adjusted its target to $675, expecting that while tariff impacts may persist, increased advertising budgets from non-U.S. clients will mitigate these effects. Additionally, Morgan Stanley (NYSE:MS) set a new target of $750, highlighting Meta’s advancements in machine learning as a driver for growth.

In other developments, Meta, along with other major tech companies, has been questioned by U.S. lawmakers regarding the security of submarine communication cables potentially serviced by Chinese and Russian entities. The inquiry was led by Representative John Moolenaar, who chairs a House panel on China. These recent developments provide investors with insights into Meta’s strategic positioning and potential challenges in the current geopolitical landscape.

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